From Health Affairs Today <[email protected]>
Subject Private-Equity Acquisition Of Hospitals
Date April 12, 2022 8:00 PM
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Podcast: Stacie Dusetzina Shares Why Medicare Beneficiaries May Not Fill
Specialty Drug Prescriptions
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Tuesday, April 12, 2022 | The Latest Research, Commentary, And News From
Health Affairs

Dear John,

On the newest episode of A Health Podyssey, Stacie Dusetzina discusses
why Medicare beneficiaries may not fill their specialty drug
prescriptions.

Listen here.

Hospital Acquisitions

In their April paper, Marcelo Cerullo and coauthors investigate private
equity acquisition of short-term acute care hospitals
.

The authors determine that while acquisition is associated with a $432
decrease in cost per adjusted discharge and a 1.78 percentage point
increase in operating margin, it is also associated with "decreases in
total beds, ratio of outpatient to inpatient charges, and staffing."

In addition, the authors find private equity acquisition is associated
with a 4.58 percent decrease in the ratio of outpatient to inpatient
charges.

"This runs contrary to the fact that in recent decades, US hospitals
have undergone a shift toward greater use of outpatient settings, which
are less resource-intensive relative to inpatient care," Cerullo and
coauthors note.

Finally, they identify a 5.05 percent decrease in total personnel FTEs
[full-time equivalents] and a 4.38 percent decrease in nursing-specific
FTEs, which they explain "points to a pattern of strategic
reorganization of staffing."

Overall, financial performance improved after acquisition, whereas
patient throughput and inpatient utilization increased and staffing
metrics decreased.

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Elsewhere At Health Affairs

Today in Health Affairs Forefront, Keren Hendel argues that COVID-19
affords an opportunity to invest in mobile health delivery

to reach populations missed by our current system.

Mary Findling and coauthors examine national public opinion data to
document the extent of violence and racism experienced by Asian
Americans nationally during the pandemic, and discuss how to move
forward.

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Stacie Dusetzina Shares Why Medicare Beneficiaries May Not Fill
Specialty Drug Prescriptions

Listen to Health Affairs Editor-in-Chief Alan Weil interview Stacie
Dusetzina from Vanderbilt University Medical Center about the complex
world of drug pricing.

Listen Here

Daily Digest

Financial Impacts And Operational Implications Of Private Equity
Acquisition Of US Hospitals

Marcelo Cerullo et al.

The Case For Investment In Mobile Health Care Solutions To Reduce Health
Inequities

Keren Hendel

COVID-19 Has Driven Racism And Violence Against Asian Americans:
Perspectives From 12 National Polls

Mary Findling et al.

Podcast: Stacie Dusetzina Shares Why Medicare Beneficiaries May Not Fill
Specialty Drug Prescriptions

Alan Weil and Stacie B. Dusetzina

[link removed]

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